Wyoming

IEEFA Research

IEEFA U.S. Coal Outlook 2017: Short-Term Gains Muted by Prevailing Weaknesses in Fundamentals

IEEFA U.S. Coal Outlook 2017: Short-Term Gains Muted by Prevailing Weaknesses in Fundamentals

Production Declining by as Much as 40 Million Tons; Prices Failing to Benefit Shareholders or Stimulate New Investment; Anemic Exports; Little or No Gain From Regulatory Relief; Increasingly Dim Employment Prospects

We’re out this morning with our annual outlook for U.S. coal markets, and the picture isn’t pretty. We see the potential for some short-lived strength in the current uptick for coal producers but the title of our assessment sums up the larger view: “Short-Term Gains Will Be Muted by Prevailing Weaknesses in Fundamentals.” You can […]

As Texas Coal-Fired Power Plants Close, Powder River Basin Mines Are Losing Their Largest Customers

Trends Will Force Closures and Complicate Efforts by Alpha Natural Resources, Arch Coal and Peabody Energy to Work Their Way Out of Bankruptcy

CLEVELAND, Aug. 3, 2016 (IEEFA.org) — The Institute for Energy Economics and Financial Analysis today published a report detailing how Powder River Basin coal producers are losing their largest customers as Texas power producers turn increasingly to other sources of energy. The report, “Texas’ Outsize Role in the Decline of the Powder River Basin Coal […]

August 2, 2016 Read More →
The Federal Government’s Coal-Leasing Program Is Broken: Here’s How to Fix It

The Federal Government’s Coal-Leasing Program Is Broken: Here’s How to Fix It

Appoint a Price-Setting Commission; Ban Exports; Cancel Some Leases; Eliminate Self-Bonding; Mandate Set-Asides for Mine Clean-up and Miner Pensions; Require Twice-a-Year Audits; Assume Smaller Markets

It’s time for the U.S. to modernize how it manages its publicly owned coal reserves. That’s the essence of comments we’ve filed today with the Department of the Interior as it begins a review of its federal coal-leasing program in the Powder River Basin, a program that has been mismanaged for years at taxpayer expense […]

As the BLM Begins Coal-Lease ‘Listening Sessions,’ a Few Hard Truths Must Be Heard

As the BLM Begins Coal-Lease ‘Listening Sessions,’ a Few Hard Truths Must Be Heard

Ban Coal Exports From the Powder River Basin, for Starters, and Impose a Moratorium on Taxpayer-Subsidized Leases

U.S. taxpayers own the largest remaining domestic coal reserves in the country, valuable resources that sit in the Powder River Basin of Montana and Wyoming and that are vital to the energy security of our country. The federal government, sad to say, has been an almost pathologically passive overseer of these resources (read more about […]

August 11, 2015 Read More →
Comments on Proposed Consolidated Federal Oil and Gas and Federal and Indian Coal Valuation Reform, ONRR-2012-0004-0024

Comments on Proposed Consolidated Federal Oil and Gas and Federal and Indian Coal Valuation Reform, ONRR-2012-0004-0024

COAL SOLD FOR EXPORT SHOULD NOT BE EXEMPT FROM FEDERAL ROYALTY PAYMENTS

Comments on Proposed Consolidated Federal Oil and Gas and Federal and Indian Coal Valuation Reform, ONRR-2012-0004-0024 By Tom Sanzillo, Director of Finance, Institute for Energy Economics and Financial Analysis

May 7, 2015 Read More →
Report – No Need for New U.S. Coal Ports: Data Shows Oversupply in Capacity

Report – No Need for New U.S. Coal Ports: Data Shows Oversupply in Capacity

No Need for New U.S. Coal Ports: Data Shows Oversupply in Capacity (pdf) By Tom Sanzillo, Director of Finance, IEEFA  

November 19, 2014 Read More →
Report: 20 Fourth-Quarter Questions for Powder River Basin Coal Producers

Report: 20 Fourth-Quarter Questions for Powder River Basin Coal Producers

20 Fourth-Quarter Questions for Powder River Basin Coal Producers (pdf) By Tom Sanzillo, Director of Finance, Institute for Energy Economics and Financial Analysis

November 11, 2014 Read More →
Memo- Response to the Department of Interior, Office of Inspector General Audit on Federal Coal Leasing Program

Memo- Response to the Department of Interior, Office of Inspector General Audit on Federal Coal Leasing Program

Policy memo: Response to the Department of Interior, Office of Inspector General Audit on Federal Coal Leasing Program June 28, 2013 (pdf)

July 1, 2013 Read More →
Report- Almost $30 billion in revenues lost to taxpayers by “giveaway” of federally owned coal in Powder River Basin

Report- Almost $30 billion in revenues lost to taxpayers by “giveaway” of federally owned coal in Powder River Basin

Almost $30 billion in revenues lost to taxpayers by “giveaway” of federally owned coal in Powder River Basin (pdf) With almost no accountability, BLM failure created boom in electric power industry use of artificially cheap coal from Montana and Wyoming; Next major coal sale set for Thursday   WASHINGTON, D.C. – June 25, 2012 – […]

June 25, 2012 Read More →

More News and Commentary

On the Blogs: Call for Investment in Coal Communities Abandoned by Trump

JustTransition.org: The initiative announced today is timely and urgently needed, as federal support for coal communities is winding down,” said Heidi Binko, executive director and co-founder of the Just Transition Fund. “As the Trump administration abandons crucial economic development programs, like the POWER Initiative, philanthropy and the private sector must do more to fill the […]

April 26, 2017 Read More →

On the Blogs: Trump Seeks Evisceration of Coal-Community Investment Initiatives

Center for American Progress: Trump campaigned on promises to revitalize the U.S. coal industry and bring back coal mining jobs. On March 28, he signed an executive order that began the process of rolling back key federal efforts, including the Environmental Protection Agency’s, or EPA’s, Clean Power Plan to reduce carbon pollution from the U.S. […]

April 24, 2017 Read More →

U.S. Policy Reversal Brings Back Federal Coal Leases Nobody Wants

Bloomberg News: President Donald Trump is expected to lift a moratorium on federal coal-mining leases Tuesday — and it probably won’t do the industry much good until years after he’s left office. That’s because U.S. coal companies including Peabody Energy Corp. won’t be looking to secure new reserves of the fossil fuel on federal land […]

March 28, 2017 Read More →

U.S. Coal Companies Dodge Federal Royalty Reform

From the Washington Post: The Interior Department has informed coal, oil and gas companies this week they do not need to comply with a new federal accounting system that would have compelled them to pay millions of dollars in additional royalties. The Office of Natural Resources Revenue’s new method of calculating royalties for minerals extracted […]

February 28, 2017 Read More →

A Record Quarter for Wind-Generation Expansion in the U.S.

Ashleigh Cotting for SNL: Wind saw its best fourth quarter since 2012, with 6,071 MW brought online, bringing the total for capacity installations during 2016 to 8,029 MW. A total of 1,089 MW of planned wind capacity was announced during the fourth quarter. The largest announced project was the Rockaway Peninsula Offshore Wind Project. The […]

February 22, 2017 Read More →
IEEFA Guest Commentary: Peabody Must No Longer Be Self Bonded

IEEFA Guest Commentary: Peabody Must No Longer Be Self Bonded

‘Dodging Debt Obligations Through Bankruptcy Proceedings’

Wyoming’s Department of Environmental Quality is facing a critical decision regarding Peabody Energy and whether the company can continue to self-bond for its $728 million Wyoming coal mine cleanup obligation. Self-bonds are unsecured IOUs, uncollectable when a company hides under bankruptcy protection. Peabody is the nation’s largest coal company, and is going through Chapter 11 […]

On the Blogs: As Industry Replaces Workers With Machines, ‘Bleak Outlook for Trump’s Promises to Coal Miners’

Devashree Saha and Sifan Liu for the Brookings Institution: The problem facing the coal industry is not unique: Automation is rapidly reducing employment in mining and manufacturing. Across a wide range of industries, from car manufacturing to computing, robots or artificial intelligence are increasingly taking over roles traditionally performed by humans. The same is true […]

February 2, 2017 Read More →

As Peabody Comes Out of Bankruptcy, Little Clarity on Its $728 Self-Bonding Commitments in Wyoming

Heather Richards for the Casper Star-Tribune: The company’s court documents shed little light on what the coal behemoth will do about $728 million in self-bonds in Wyoming and $1.1 billion in self-bonds in a total of four states. The company promised it would follow the law post-bankruptcy but failed to provide details as to how […]

January 24, 2017 Read More →

Op-Ed: Taxpayers Gain if Federal Coal-Lease Reforms Stand

Meredith Fowlie for The Conversation: The federal coal program is supposed to manage vast federally owned coal reserves, which account for more than 40 percent of U.S. coal production, “for the benefit of current and future generations.” But the program has, for a long time, been criticized for selling taxpayers short. For this and other […]

January 23, 2017 Read More →
IEEFA U.S. Coal Outlook 2017: Short-Term Gains Muted by Prevailing Weaknesses in Fundamentals
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IEEFA U.S. Coal Outlook 2017: Short-Term Gains Muted by Prevailing Weaknesses in Fundamentals

Production Declining by as Much as 40 Million Tons; Prices Failing to Benefit Shareholders or Stimulate New Investment; Anemic Exports; Little or No Gain From Regulatory Relief; Increasingly Dim Employment Prospects

We’re out this morning with our annual outlook for U.S. coal markets, and the picture isn’t pretty. We see the potential for some short-lived strength in the current uptick for coal producers but the title of our assessment sums up the larger view: “Short-Term Gains Will Be Muted by Prevailing Weaknesses in Fundamentals.” You can […]